Call Kurtis Investigates: Home Warranty Company Operates Illegally in California

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FOLSOM (CBS13) A home warranty company has been illegally operating in California, a Call Kurtis Investigation has uncovered. Customers up and down the state have complained after being sold policies for years of protection saying Colonial Home Warranty was not there for them when they needed the protection.

Neville Patel of Folsom says his microwave stopped heating. Instead of replacing the broken magnatron part, he says Colonial Home Warranty offered him a $45 buyout saying the part wasnt available. CBS13 confirmed with G.E., it had nearly 5-hundred of the same magnatron parts in stock at $246 apiece.

They dont want to fix it, he said.

Ernie Hills of Sacramento says when his stove quit working, Colonial Home Warranty offered him a $35 buyout, saying the expensive part wasnt available.

It wasnt available from the source they had, and they werent willing to look for it, he recalls. Ernie says he found the part and told them where they could get it.

Theyre despicable, he said.

CBS13 has learned Colonial Home Warranty headquartered in Delaware never shouldve sold policies in California, where they are not licensed.

They were operating illegally, said Department of Insurance spokesperson Nancy Kincaid.

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Call Kurtis Investigates: Home Warranty Company Operates Illegally in California